Discussion:S-Corp owns 80% of S-Corp where to show loss
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Discussion Forum Index --> Tax Questions --> S-Corp owns 80% of S-Corp where to show loss
BottomLine (talk|edits) said: | 15 August 2006 |
| S-Corp A owns 80% of S-Corp B. Both businesses have a tax loss and an operating loss. Since A owns 80% of B, how do I show the loss on A's tax return. A is owned 50/50 by individuals. | |
| 16 August 2006 | |
| Since S corporation B has an ineligible shareholder, the S election for that corporation is terminated. | |
| 16 August 2006 | |
| BottomLine
I suggest you read Code Section 1361. Then maybe consider them as two distinct and arms length investments. | |
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